MISSISSAUGA, Ont. — The Second Cup Ltd. (TSX:SCU) continued to lose money in the third quarter but says it saw definite signs that its coffee shop business is beginning to perk up.
Total revenue improved to $9.3 million from $6.7 million in the third quarter of 2014, with an increase from company-owned cafes offsetting a decline from franchised locations.
The company's net loss was reduced to $1.1 million or nine cents per share from $26.2 million or $2.65 per share in last year's third quarter.
Second Cup also said its same-store sales, which track performance of locations that have been open for at least a year, turned positive in the last five weeks of the quarter ended Sept. 26.
But for the quarter as a whole, same-store sales were down 2.9 per cent.
Second Cup closed 12 cafes during the quarter, taking the total down to 327, down from 339 at the end of the second quarter and 349 at the end of last year's third quarter.
As of the end of the quarter, Second Cup had 42 corporate stores in its restaurant network, down from 47 in the previous quarter.
Second Cup said its third-quarter loss this year included a $863,000 provision for closing six underperforming stores.
The Canadian Press